CarBoE805

Will be hard for the pound

 
Negotiation between Therese May and the Democratic Unionist Party resulted in an agreement which was given at a high price. Northern Ireland is allocated 1 billion pounds for the fact that Democrats will support the Conservatives. This is half as the Unionist party desired, but it still significant amount.
 
Theresa May staying in her place, but she does not have a majority in the government. In this regard, the Prime Minister will have to struggle for every law proposed to her and naturally will have to make concessions. In this way, the speed of making decision in the parliament is falling, as is the speed of negotiations with Brussels.
 
Under such conditions, the Brexit will be softer and longer. In general, this is good for the economy of Albion, which will have time to rebuild and adapt to new conditions. This will allow the British currency to feel relatively stability.
 
But this is in the long term; today the pound sterling can surrender positions after the speech of the Chair of the Bank of England. Mark Carney is cautious in his statements, and does not support the idea of an early tightening of monetary policy. Therefore, his dovish position is able to weaken the sterling’s position in the short term.